Telecom Stocks Outlook for the week – 05 to 09.12.2016
Click Here & Register To Get 2 days Trial Tips
Telecom Stocks Outlook for the week – 05 to 09.12.2016
( www.rupeedesk.in )
The trend in shares of major telecommunication companies is expected to be stock-specific
next week, with the Bharti Airtel Ltd and Idea Cellular Ltd stocks seen positive and Tata
Communications Ltd likely to trade with a negative bias. We will keenly track the
Monetary Policy Committee's policy review on Wednesday, particularly after the
government's decision to withdraw higher denomination currency notes from circulation.
Most market participants expect a cut of at least 25 basis points by the Monetary Policy
Committee. On technical grounds, the Bharti Airtel stock is on a recovery mode, after it
fell on Thursday on news that Reliance Jio Infocomm extended its free services for another
three months. The stock might continue in a recovery mode at the beginning of the week.
-RJio, a subsidiary of Reliance Industries Ltd, on Thursday extended its free data and
voice services till March 31, which resulted in the shares of Bharti Airtel, Idea Cellular,
and Reliance Communications ending down 2-6% that day.
-Competition in the telecom industry, triggered by the new entrant, continues to put
pressure on the margins of operators such as Bharti Airtel and Idea Cellular.
-Most companies have cut tariffs steeply due to the rock-bottom prices that the RIL
subsidiary is offering.
Click Here & Register To Get 2 days Trial Tips
Free Intraday Tips : Join Our Whatsapp No : 9841986753
